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marpy

marpy
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  • Wall Street Breakfast: Eurozone Economy Weathers Greek Storm [View article]
    Yes and Uber is part of that. ;-)
    Jun 23, 2015. 09:43 AM | 1 Like Like |Link to Comment
  • Wall Street Breakfast: Eurozone Economy Weathers Greek Storm [View article]
    It is the way of the future and replaces a system that is closest to the feifdums that used to exist 100's of years ago. The current system is as close to slavery as you get in the supposed modern world we live in. The owner of the cab license makes all the money while the drivers get to work very long hours for peanuts and tips. Cab drivers should be embracing Uber as it gives them the power to cut lose from the current slave system they work in. If they can buy a vehicle, sign up with Uber and make the cut. they become their own boss and cut out a middleman who really does nothing for them.
    From a drivers perspective, another way to look at this is that the Google car will render most drivers obsolete in about 10 years from know and so having a car working through Uber is about the only chance these guys will have of being in the business 10 years from now.
    Technology is generally for the better and embracing it and moving forward is generally the best way to go. When it replaces an old tyrannical system like the current taxi license system - even better!!
    Jun 23, 2015. 09:41 AM | 14 Likes Like |Link to Comment
  • Wall Street Breakfast: Eurozone Economy Weathers Greek Storm [View article]
    "eat the cost and say they are clear of owing any money back. Period." Absolutely not as you would have half the other Euro countries lining up and looking for a similar deal. That would spell the end of the Euro and so is not an option. Reality is that Greece has a lot more to loose from a Grexit than the rest of Europe and so they will either tow the line and eat most of the austerity or get the boot. There are only 2 choices here with little in between.
    Jun 23, 2015. 09:30 AM | 6 Likes Like |Link to Comment
  • Here We Go Again [View article]
    Tsipras and the Greek people are not that stupid regardless of what cards they may claim they will play. Sure they will make a deal on pipelines but you can forget about anything to do with Military bases and ports.
    Jun 22, 2015. 08:53 AM | Likes Like |Link to Comment
  • China Hits Peak Steel As Rio Tinto Says Iron Ore Supply Still Plentiful [View article]
    Lots of predictions from the same people that never saw the crash coming in the first place! ;-)
    Jun 22, 2015. 08:48 AM | Likes Like |Link to Comment
  • Cenovus Energy - Is A Sale Of Royalty Lands Near? [View article]
    The US dollar debit is an issue for them as it is costing them 20% plus more to service that debit than when the Canadian dollar was at par. I do not know why a Canadian oil company would have their debit mostly in US dollars as it makes no sense. Yes oil is priced in US dollars but the Canadian dollar moves up and down with the price of oil and with the exception of short periods of time, never trades much above par and usually below. Having the debit in Canadian dollars means getting a break when the price of oil drops as the Canadian dollar sinks while your oil is sold in US dollars. Not very smart on their part.
    As for their costs, like all companies, when times are good they put on an awful lot of fat that can be shed now that times are not so good. They have already started to do this with layoffs and re - negotiated contracts and I expect that they can do a lot more. Their actual oil sands cost of getting a barrel out of the ground is under $30 with the rest being overhead, cost of debit, transportation etc. The $30 can be whittled down and so can all the other costs.
    IMO - Lots of room to cut and all in costs of under $50 is achievable. Also it looks like the royalty lands will most probably be sold and I would hope that a large chunk of the proceeds goes towards debit reduction. IMO the name of the game should now be to lower costs and maximize profitability as that is what will sustain them in the long run. The current projects that they are completing will add considerable production moving cautiously on the rest of their development plans till oil prices do stabilize around $70 plus would be the way to go.
    I also see CVE as being attractive to CNQ or one of the majors. Long reserve life with the ability to grow production is what they offer and that is usually what the big boys look for.

    JMO
    Jun 20, 2015. 09:25 AM | 4 Likes Like |Link to Comment
  • The EPA and Pope Francis strange allies on greenhouse gas reform [View news story]
    He is perhaps trying to get the focus away from all the other problems that the church has been having? - moral as well as monetary!
    Jun 19, 2015. 04:46 PM | 4 Likes Like |Link to Comment
  • Cenovus Energy - Is A Sale Of Royalty Lands Near? [View article]
    Oil sand plants utilizing mining methods are far more susceptible to disruptions than those using SAGD methods as CVE does. Oil sands plants like CVE also have IMO lots of room for cost reductions and so I expect that they can be quite profitable at $60 oil. After all, it was not long ago that they were producing at oil under $50.
    Jun 19, 2015. 02:54 PM | 2 Likes Like |Link to Comment
  • Cenovus confirms it is in talks to sell royalty lands [View news story]
    This would put them on a very solid financial footing.
    Jun 19, 2015. 02:43 PM | Likes Like |Link to Comment
  • After A Lot Of Pain, Can ArcelorMittal Deliver Some Gains? [View article]
    On checking further. you are correct.
    Jun 18, 2015. 02:17 PM | Likes Like |Link to Comment
  • After A Lot Of Pain, Can ArcelorMittal Deliver Some Gains? [View article]
    I have seen other reports that are closer to 14 billion. They could be wrong I suppose.
    Jun 18, 2015. 01:56 PM | Likes Like |Link to Comment
  • After A Lot Of Pain, Can ArcelorMittal Deliver Some Gains? [View article]
    with MT what you have is the largest steel company in the world at the bottom of what has always been a very cyclical industry. They have restructured Europe and are currently restructuring their North American operation. Their North American restructuring is more focused on the finishing operations and integrating their Calvert facility into the mix than on the primary end of the business. When you look at the primary or Iron making part of the business, 2 things come to mind. 1) 75% of costs are in the raw materials and so your operating costs are largely driven by this. 2) A lot of MT's Primary capacity was bought from bankrupt companies for peanuts (they did not tie up a lot of money buying it). This also means that the mills that came with this capacity are old and inefficient and as such it makes sense to focus North American capacity on the finishing operations. This is especially so in light of the very modern Calvert facility that they purchased. Speaking of peanuts - this facility cost 14 billion to build and MT and partner bought it for 1.5 billion.
    With Iron ore, production costs in Australia are not overly relevant to North America for many reasons including that little Australian ore if any gets here. Yes it will impact the price up and down but the North American price is tempered on both sides of that equation. MT is also among the lower cost producers of ore in North America and so I see them as surviving this slump in reasonably good shape.
    They also spend a lot on research and development and developing what they call their franchisee business based on the new high strength steels they develop and customer service. This gives them a leg up as it gives them a premium product that they can sell for a premium price and is very big for them in automotive. These light weight high strength steels will also help stem the move of aluminum into automotive as they are far cheaper than aluminum while also reducing vehicle weight and lending themselves to manufacturing improvements.
    I view MT as one of the best steel stocks. Long MT.
    Jun 18, 2015. 10:13 AM | 4 Likes Like |Link to Comment
  • Rolls Royce: The Goose Has Laid The Golden Engine [View article]
    I see no dividend being paid. A company like this with no dividend = no thanks!
    Jun 18, 2015. 07:59 AM | 1 Like Like |Link to Comment
  • Wall Street Breakfast: Greece's Future Hangs In The Balance [View article]
    If it does happen. its bad all around - bad for the consumer, bad for the industry and bad for the employees. Fiat has a big pile of debt and is looking to grow its way out of it on GM's back. They both make lousy vehicles and combining the 2 will just amount to lousier vehicles. Last time I was in Europe, most consumers viewed Fiat as cheep crap.
    Jun 18, 2015. 07:54 AM | 8 Likes Like |Link to Comment
  • On the hour [View news story]
    stocks should be tacking gains on as one way or the other the Greek Drag is coming to an end. ;-)
    Jun 17, 2015. 11:14 AM | Likes Like |Link to Comment
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